Macroeconomic Fluctuations

Macroeconomic fluctuations refer to the ups and downs in a country's economy over time, typically measured by changes in Gross Domestic Product (GDP), employment rates, and inflation. These fluctuations can result from various factors, including shifts in consumer demand, changes in government policy, or external events like natural disasters or global crises. During periods of expansion, the economy grows, jobs are created, and incomes rise. Conversely, during recessions, economic activity slows, leading to job losses and economic hardship. Understanding these cycles helps policymakers and businesses make informed decisions to stabilize and grow the economy.